Australia must deliver 1.2 million new homes over the next five years to meet demand, and the Housing Industry Association (HIA) suggests that “gentle density” is central to achieving this goal.

Gentle density refers to medium-density housing, such as townhouses, duplexes, and micro-lots, built within existing suburbs.

This approach boosts supply while maintaining the character of established communities. According to HIA Executive Director of Planning, Mike Hermon:

“Australia’s housing crisis is at a tipping point, and one of the answers lies in embracing gentle density to unlock the missing middle housing solutions.”

Rather than relying solely on costly greenfield development at the urban fringe, the HIA advocates for infill development in infrastructure-ready suburbs.

These areas, typically near employment centres, schools, and transport hubs, offer strategic locations for mortgage growth.

Outdated zoning regulations remain a barrier, often restricting development to high-rise apartments or standalone houses.

The HIA is calling for more flexible planning frameworks and faster approval processes to support a more diversified housing mix.

It’s a strategic step toward fixing the housing crisis without sacrificing the livability of our suburbs.